Writ Petition No. 13103 of 2023 · The High Court
Case Details
- 1 - NC: 2023: KHC:35033 WP No. 13103 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 26TH DAY OF SEPTEMBER 2023 BEFORE THE HON'BLE MS. JUSTICE JYOTI MULIMANI WRIT PETITION NO. 13103 OF 2023 (L-MW) BETWEEN: 1. ALL INDIA TRADE UNION CONGRESS (R), KARNATAKA STATE COMMITTEE, NO.6, SIRUR PARK ROAD, SHESHADRIPURAM, BENGALURU - 560 020, REPRESENTED BY ITS GENERAL SECRETARY. 2. ENGINEERING AND GENERAL WORKERS UNION (R), BENGALURU DISTRICT, GHATE BHAVAN, VYALIKAVAL, G.D. PARK EXTENSION, BENGALURU - 560 003, REPRESENTED BY ITS GENERAL SECRETARY. … PETITIONERS (BY SRI.NARAYANASWAMY K.B., ADVOCATE) Digitally signed by THEJASKUMAR N Location: HIGH COURT OF KARNATAKA AND: THE STATE OF KARNATAKA, DEPARTMENT OF LABOUR, VIKASA SOUDHA, 5TH FLOOR, DR.B.R. AMBEDKAR VEEDHI, BENGALURU - 560 001. REPRESENTED BY ITS ADDITIONAL CHIEF SECRETARY. (BY SMT.V.SPOORTHI., HCGP) … RESPONDENT - 2 - NC: 2023: KHC:35033 WP No. 13103 of 2023 THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, SEEKING CERTAIN RELIEFS. THIS WRIT PETITION IS COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, THE COURT MADE THE FOLLOWING:
Decision
ORDER Sri.Narayana Swamy.K.B., learned counsel for the petitioners and Smt.V.Spoorthi., learned HCGP for the respondent have appeared in person. The brief facts are these. 2. The first petitioner is the Karnataka State Committee of All India Trade Union Congress (AITUC for short), functioning in the State of Karnataka, espousing the cause of the organized and more so of the unorganized workers. AITUC was founded in the year 1920 and later came to be registered under the Trade Unions Act, of 1926. It is a national-level premier trade union federation, led by illustrious leaders of the national freedom movement. In Karnataka, several trade unions have been affiliated with AITUC. Thus, AITUC, through its affiliated trade unions, represents about two lakh workers in the State of Karnataka. The membership comprises Anganwadi - 3 - NC: 2023: KHC:35033 WP No. 13103 of 2023 Workers, Mid-Day Meal Workers, Construction Workers, Factory Workers, Contract Labor, Daily Wage Workers, Road Transport Workers, Coffee-Estate Workers, Beedi Workers etc., It is stated that the first petitioner has been espousing the cause of workers employed in the minimum wage sector as these workers do not have their trade union organizations to seek better wages and service conditions from the employers of the scheduled employment. It is estimated that there are about 1.7 Crore workers employed in the minimum wage sector in the State of Karnataka. Hence, the first petitioner considers that it is their paramount obligation to voice the grievances of these voiceless workers employed in the minimum wage sector. This Writ Petition is one such endeavor. The second petitioner is a trade union registered under the Trade Unions Act and it is affiliated to AITUC. Workers in a score of engineering industries and general services establishments in and around Bengaluru Urban and Rural District have become members of the second petitioner Union. It has a membership of around 3,000 workers, which includes those working in the minimum wage sector. Hence, the second petitioner is vitally concerned that the respondent State - 4 - NC: 2023: KHC:35033 WP No. 13103 of 2023 Government fixes the rates of minimum wages in scheduled employment liberally and in accordance with the provisions of the Minimum Wages Act, 1948 and in accordance with the law laid down by the Apex Court and various High Courts about fixation of minimum wages. The concept of minimum wages is animated by the Directive Principles of State Policies. The history of minimum wage fixation is replete with umpteen cases of judicial intervention by the Hon'ble Supreme Court and various High Courts from time to time to get justice for workers employed in the minimum wage sector to ensure not only the mandate of the Constitution of India in part III under Article 14, 19, 21 and 23 are not frustrated and violated, but also to ensure that the appropriate Governments - Central and State Governments - give effect to the Directive Principles of the State Policy enumerated in Part-IV of the Constitution. The Government followed the guidelines prescribed by the Hon'ble Supreme Court in the REPTAKOS BRETT case while fixing the minimum rates of wages for the first time and while reviewing and revising the rates of minimum wages on subsequent occasions. There was no ambiguity in this regard. The Labor Department would collect data relating to food - 5 - NC: 2023: KHC:35033 WP No. 13103 of 2023 basket, clothing and house rent from different centers in the State and based on the data so collected, would fix/ revise the rates of minimum wages after applying the guidelines prescribed in the case of REPTAKOS BRETT and would propose the said rates in the Draft Notification under Section 5(1)(b) of the Act and call for suggestion/ objections from the concerned parties to the draft Notification. Thereafter, the State Minimum Wages Advisory Board, after discussing the suggestions/ objections received from the affected persons/ organizations, would forward the Advisory Board's proceedings with or without their recommendation to the State Government. The procedure had been followed by the government in fixing and revising the rates of minimum wages in some of the scheduled employment in the year 2015-16. As things stood thus, the Government issued Draft Notification No. KaE 51 LWA 2022 dated:04.06.2022, proposes to revise the minimum rates of wages in Employment in Hostels, Guest Houses, Home Stays, Paying Guest Houses, Serviced Apartments, Residents Associations, Marriages and Community Halls, in exercise of the power vested in it under Section 3(1)(b) and 5(1)(b) of the Minimum Wages Act, 1948 and invited suggestions and objections from the affected - 6 - NC: 2023: KHC:35033 WP No. 13103 of 2023 persons, employers and employees organizations, to be submitted to the Government within two months from the date of Notification. In response to the Draft Notification, several suggestions/ objections were received by the Government. It is stated that on 21.06.2022, the trade unions under the banner of Joint Committee of Trade Unions (JCTU, for short) which included the first petitioner, presented a joint statement of objections and recommendation on the issue of revising rates of minimum wages in the scheduled employment in the earlier proceedings of the Minimum Wage Advisory Committee on 21.06.2022. The Joint Committee of Trade Unions collected the prices of food items independently from the market and the prices of vegetables from HOPCOMS and calculated the minimum wages payable to workmen employed in the scheduled employment. The calculation provided by the Unions was realistic and scientific. On the other hand, the Government had not collected any such data from the food market, clothing shops and the house rent to present it before the Minimum Wage Advisory Board. The employer organizations such as FKCCI, Bengaluru Employers Association, Karnataka Employers Association, - 7 - NC: 2023: KHC:35033 WP No. 13103 of 2023 KASSIA, CII etc., had also not furnished any such data before the Advisory Board. Thereafter, the Commissioner of Labour and the Chairperson of the Karnataka State Minimum Wage Advisory Board convened the meeting on 27.09.2022 to discuss various objections/ suggestions received from the concerned persons/ organizations in respect of sixteen (16) scheduled employment including the Employment in Hostels, Guest Houses, Home Stays, Paying Guest Houses, Serviced Apartments, Residents Associations, Marriages and Community Halls. The Joint Labour Commissioner (Minimum Wages), Sri.S.B.Ravikumar, who is the Government Nominee and the Chairman of Minimum Wages Advisory Board, in the course of Advisory Board Meeting held on 27.09.2022, stated that the guidelines given by the Hon'ble Supreme Court in REPTAKOS BRETT case are applicable only at the time of fixing rates of minimum wages in scheduled employment for the first time and that those guidelines are not applicable at the time of reviewing and revising the rates of minimum wages subsequently. It was also stated that the guidelines of the REPTAKOS BRETT case and SHANTAPPA COMMITTEE recommendations would be - 8 - NC: 2023: KHC:35033 WP No. 13103 of 2023 followed when the Government fixes the rates of minimum wages for the time in respect of twenty-two scheduled employment. The contention of the petitioner is that this stand taken by the Government representative in the Advisory Board meeting is contrary to the decisions of the Hon'ble Supreme Court in that none of the decisions suggested different guidelines for fixing rates of minimum wages; one for fixing the rates of minimum wages for the first time and the other for revising the rates subsequently. The representatives of the workers' unions strongly objected to the stand taken by the Government representative and insisted that the rates of minimum wages for all scheduled employment should be fixed in accordance with the guidelines laid down in REPTAKOS BRETT case, be it for the first time or at the time of revision subsequently. It was also pointed out that if the norms of the REPTAKOS BRETT case are not applied in both cases alike, it would lead to an anomalous situation. The specific contention of the petitioners that the Government had not collected any data on essential food items, clothing, rental value etc., from various city centers that should - 9 - NC: 2023: KHC:35033 WP No. 13103 of 2023 go in to the calculation of food cost, which exercise is imperative for fixing the rates of minimum wages in accordance with the REPTAKOS BRETT guidelines as also the dietary standards fixed by Dr Aykroyd. It is said that the Government has given a go-by to the imperative requirements and issued the Final Notification on 30.11.2022. It is this Notification that is called into question in this Writ Petition on several grounds as set out in the Memorandum of the Writ Petition. 3. Learned counsel for the petitioners and learned HCGP for the respondent have urged several contentions. Heard, the contentions urged on behalf of the respective parties and perused the Writ Papers with utmost care. 4. The point that requires consideration is whether the Notification issued by the Government on the 30th day of November 2022 is sustainable in law. 5. The facts have been sufficiently stated and do not require reiteration. The principal ground on which this Court is asked to quash the Notification dated 30.11.2022 is that the Government has completely ignored the objections and suggestions filed by the petitioners and further the Government - 10 - NC: 2023: KHC:35033 WP No. 13103 of 2023 has not adhered to the norms prescribed by the Apex Court in the REPTAKOS BRETT case. The issue revolves around the revision of minimum rates of wages in different scheduled employment. Suffice it to note that the Government issued the Notification on the 30th day of November 2022 revising the rates of minimum wages payable to the workmen in the scheduled employment. The Notification is furnished in the Writ Petition. The same is marked as Annexure-A. A perusal of the same would reveal that the Government has placed reliance on the Draft Notification dated 04.06.2022 published on 16.06.2022 and revised the minimum rates of wages in different scheduled employment. The Apex Court settled the law back in the year 1992 in the REPTAKOS BRETT case and framed guidelines and norms. It is pivotal to note that the guidelines/ norms framed by the Apex Court are required to be followed by the appropriate Governments scrupulously both in the cases of fixing the minimum rates of wages for the first time and reviewing and revising the rates in subsequent occasions. It is not in dispute that the petitioners filed a detailed statement of objections to - 11 - NC: 2023: KHC:35033 WP No. 13103 of 2023 the Draft Notification and brought to the notice of the Advisory Board the guidelines framed by the Apex Court in the REPTAKOS BRETT case. However, the Government without giving any consideration to the valid objection filed by JCTU and without applying the norms framed by the Apex Court, mechanically fixed the same rates of minimum wages as had been proposed in the draft notification in the scheduled employment. The rates of minimum wages fixed/ revised in the final notification are unsustainable in law. Furthermore, a perusal of a Notification would reveal that the Government has revised the rate of minimum wages by adding just 5 to 10% to the prices worked out previously in 2015-16. This is contrary to the norms and guidelines framed by the Apex Court. 6. Learned HCGP submits that the guidelines laid down by the Apex Court in the REPTAKOS BRETT case are applicable only when the rates of minimum wages are being fixed in respect of scheduled employment for the first time, but not applicable to the cases of revision of rates subsequently. I am unable to accept the said contention. The reason is simple and apparent. In fact, on all previous occasions, the Government has revised the rates by applying the guidelines framed by the Apex Court. Furthermore, the Hon'ble Apex - 12 - NC: 2023: KHC:35033 WP No. 13103 of 2023 Court has not made any distinction as contended by the HCGP. Therefore, the contention is satisfactorily hopeless. I may venture to say that the stand taken by the Government representative would lead to an anomalous situation. The Government has given a go-by to the imperative requirements and erroneously issued the Final Notification. For the reasons stated above, this Court deems it proper to quash the Final Notification dated 30.11.2022 issued by the Government of Karnataka and direct the Government to consider all the objections received in respect of the Draft Notification and act in accordance with the law. 7. The Writ of Certiorari is ordered. The Notification issued by the Government on the 30th day of November 2022 vide Annexure-A is quashed. The respondent shall redo the Notification impugned in the Writ Petition following strictly the procedure and norms fixed by the Hon'ble Apex Court in the case of REPTAKOS BRETT in determining the rates of wages. The redone Notification will be given effect from 30.11.2022. The Government is directed to complete the entire process within - 13 - NC: 2023: KHC:35033 WP No. 13103 of 2023 an outer limit of two months from the date of receipt of the certified copy of this order. 8. Resultantly, the Writ Petition is allowed. Sd/- JUDGE TKN List No.: 2 Sl No.: 9